Effects of Downsizing in the Field of Information Technology

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Effects of Downsizing in the Field of Information Technology

Companies are asking for more from their employees now than ever before. By downsizing and outsourcing, and otherwise changing the corporate world for their employees, Information Technology companies have fundamentally changed the relationship between the organization and its employees. Indeed, Information Technology companies are becoming more and more eager to implement a scaled-down version of their operations as a means by which to minimize expenditures and maximize profits. "You have workers that are often difficult to train when willing, but are often unwilling to really work and earn their way" (Torres C2-6).

What is the impact of such significant downsizing to the Information Technology field in general? For one thing, globalization has cast an entirely new light upon the way that Information Technology companies operate amidst a growing atmosphere of global competition. Every opportunity to cut costs and increase revenue brings a company that much closer to overpowering its industry rival. "There are good reasons…to be skeptical about whether easing the way money flits around the world has brought more good than harm" (Moberg 18). While the globalization of the Information Technology industry greatly depends upon a firm's competitive position in a particular country being significantly impacted by its position in other countries, it can be readily understood that global industry is not just a collection of domestic industries but rather a group of linked industries in which rivals compete against one another upon a worldwide basis.

"Businesses when entering foreign markets must 'Think Globally, Act Locally,' effectively using the concept of the international product life cycle, and improve value chain activities to sustain their competitive advantages" (Industry-Specific Competitiveness Of A Nation).

Yet another impact of downsizing in the Information Technology field is the notion of inflation. Inflation and the business cycle are two economic entities that are forever intertwined. That one cannot exist without the other's influence is particularly pertinent when assessing how government attempts to minimize inflation along with the size of variations that exist in the business cycle. Samuelson explains why there has come to be a balance of unemployment with inflation, no...

... middle of paper ...

... are often absent from downsizing efforts. "No one element can create or sustain ethical management; and weakness in one element could undermine the whole effort" (Ruin PG). The very issues of corporate social responsibility should rightly exist within every company's infrastructure, particularly in the event of a downsizing; however, social integrity is not something that is often at the forefront of modern day business dealings (Beauchamp et al PG).

Works cited

Beauchamp, T., &Bowie, N. E. (1996). Ethical Theory And Business. (Englewood

Cliffs, NJ: Prentice Hall).

Lustig, B. Andrew (1992, October). The method of 'principlism': a critique of the critique. The Journal of Medicine and Philosophy, vol. 17, pp. 487(14).

Mitcham, Carl (1996, March). Technology and ethics: From expertise to public participation. The World &I, vol. 11, pp. 314.

Ruin, Joseph Eby (1997, December). Importance of business ethics. New Straits Times, pp. PG.

*PG denotes page number taken from an online electronic

source.

The Journal of Medicine and Philosophy, Oct 1992 v17 n5 p487(14) The method of 'principlism': a critique of the critique. (Principles and Patients)

B. Andrew Lustig.

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